Van Tran Blasts Democrat Container Tax
Posted by: Jubal | 07/16/2008 5:26 PM
DEMOCRATS VOTE TO INCREASE SHIPPING COSTS THROUGH CALIFORNIA PORTS BY $400 MILLION
Costly Legislation Will Devastate Economy, Place Thousands of Jobs at Risk
SACRAMENTO - Calling it a backwards measure that will hurt our economy and the environment, Assemblyman Van Tran today defended California's economy from yet another costly tax increase being pushed by Democrats, voting to reject legislation that would raise shipping costs by $400 million annually.
"As lawmakers, we must do everything we can to promote more trade and more investment in California, to create opportunity for hard-working Californians," said Assemblyman Van Tran, R-Costa Mesa, Chairman of the Assembly Select Committee on International Trade. "Increasing shipping costs through California ports by $400 million annually will do just the opposite - erecting a barrier to prosperity that will encourage companies to ship their goods elsewhere and hurt our economy."
Senate Bill 974, by Senator Alan Lowenthal, D-Long Beach, would impose a new $30 per twenty-foot equivalent unit fee on every container entering the ports of Los Angeles, Long Beach and Oakland, with the proceeds paying for more government spending. It is estimated that this measure would increase shipping costs in California by $400 million annually. Nearly every Republican lawmaker raised concerns that the new state fee is in addition to new container fees already adopted at the local level or currently under consideration. They questioned why a new state fee was needed given the fees that have been assessed locally.
SB 974 has been labeled a "job killer" by the California Chamber of Commerce, due to the devastating impacts higher shipping costs could have on the economy and jobs. Republicans argued this would undermine Long Beach and Los Angeles as the top ports in the United States, which today move double the number of goods as New York. It is estimated that as much as 40 percent of the goods shipped through those ports could just as easily go through other states and countries.
Not only would a $400 million increase in shipping costs lead to companies shipping goods through other ports and threaten thousands of jobs, it could negatively impact the environment. As other states and countries may not have a transportation network as efficient as California's, it could lead to greater reliance upon heavy trucks. This would exacerbate problems with traffic, highway safety and air pollution.
"Increasing shipping costs will do nothing to improve air quality in California, and may actually cause more environmental damage in the long run," Tran said. "Higher costs will just drive companies to ship their goods through other ports that don't share our commitment to protecting the environment, utilizing less efficient modes of transportation that emit more pollution."
The Democratic left will pluck, clean and cook the golden goose -- and then denounce its corporate greed for no longer laying golden eggs.
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Jubal isn't this the same container Tax that Supervisor Nguyen fought agaisn't at OCTA. She was the only Supervisor to oppose this ridiculous tax. She also fought agaisn't this when she was with the Long Beach Chamber. It's nice to see that Van Tran and Janet Nguyen actually agree on something. Now if only Van and his crew pass the olive branch.
Once at it Janet should retract her wasteful $2.5 million Little Saigon "golden gate bridge" plan which would only benefit one particular shopping center owner/ developer.
$2.5 million should be used to benefit all residents in the district.
Van and Janet are right on on this one. I was really surprised to see OCTA and OC Tax Associasion support this tax.
I know Janet opposed but does anyone know where the other Supervisors were at? Was it a 4-1 or 3-2 vote? I hope one other of our Republican Supervisors could oppose a new tax.
I am also really disappointed in Bob Huff. He was the only Republican to vote for this new tax. I guess we can't count on him to hold the line on this new budget.
Now the only thing between us and a new tax on everything we import through the ports is Gov. Arnold. God help us.
I agree, new taxes are generally bad but equally I am still concerned over Janet's pork barrel spending mentality at the 5th Floor.